Question:When an appraised value comes in lower than estimated, oftentimes this results in an increased rate; however there are no fees (that are tied to tolerance levels) changing, the loan amount is remaining the same, and the expiration date is the same, is there a need to issue a revised Loan Estimate?

Answer:In this example there is no need to issue a revised Loan Estimate, unless you choose to do so as a courtesy. The only time a revised Loan Estimate is required is if the rate was unlocked and is being locked--otherwise, the updated charges can simply be reflected on the Closing Disclosure. The revised Loan Estimate is, in most cases, simply a tool lenders may use in order to reset fee tolerances.